Sunday, November 3, 2024

TIDBIT FROM GOLDILOCKS ,3 NOV

 GOLDILOCKS

"Monetary policy rate and reactivation of securities based on the monetary policy orientations to enhance access to targeted inflation rates."


A "monetary policy rate" refers to the interest rate set by a central bank to influence borrowing costs across the economy, essentially acting as a benchmark for other interest rates, while "reactivation of securities" means a central bank buying back government bonds from the market to inject liquidity and stimulate economic activity, often used as a tool within monetary policy to lower interest rates and encourage borrowing. 


Reactivation of securities refers to the process of reactivating a dormant trading account or a security clearance. Examples of securities include:

* Stocks

* Bonds

* Notes (loans)

* Debentures (a debt instrument used to raise capital)

* Limited partnership interests

* Oil and gas interests 


These monetary policy changes will enable the Iraqi Dinar to strengthen its own currency, and the underlying security assets above will support the Iraqi Dinar exchange rate. This (exchange rate) is expected to be revealed upon WTO acceptance. 


The reactivation of these accounts utilizing the Iraqi Dinar (instead of the dollar) will increase demand and price pressures on the Iraqi Dinar.


By end of year, Iraq will be removed from the electronic platform which is the oil account (see Securities list above) controlled by the Federal Reserve for which Iraq receives their oil revenues approved by the U.S. https://cbi.iq/news/view/2660 


A dormant trading account is an account that has not had any trades made for a period of time. The agency that originally granted the clearance can reinstate it, or a different agency can accept and reciprocally grant it such as we are seeing in new Digital Networks coming into play on the QFS.


© Goldilocks


https://cbi.iq/news/view/2703


https://www.negotiations.com/articles/international-transactions/


https://www.investopedia.com/terms/i/inflation_targeting.asp

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